The staff of one of Wales' leading training and apprenticeship providers have become majority shareholders in the business.
Ystrad Mynach-based Educ8 Training Group has struck a deal seeing its staff taking a 51% interest.
The transition to an employee owned trust (EOT) scheme was funded by Boost & Co, with Cardiff-based corporate advisory firm GS Verde Group advising throughout the transaction.
The value of the deal has not been disclosed.
Chairman of , Colin Tucker, said: “Since setting up the business it has always been important to have community at the heart of Educ8. Setting up this trust in favour of our employees means we can truly say Educ8 is embedded into our local communities. It will create true value and wealth for those that have contributed to its success.”
Mr Tucker added: “Our board of directors, trust representatives and all employees can continue to drive the business to even greater heights and maximise the opportunities this will bring. Employee owned trusts form part of the Welsh Government programme and are a key driver for wealth creation in communities.”
Educ8 was founded in 2004 with the aim of addressing the skills shortage in Wales. It now employs over 200 staff.
Earlier this year, Educ8 expanded across the border after acquiring equine trainer Haddon Training in Berkshire.
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The deal was Educ8’s third acquisition in recent years, following the purchase of NTS in 2015 and ISA Training in 2018. It will result in the group’s turnover reaching circa £13.5m.
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Grant Santos, chief executive of Educ8 Training, said: “We strive to provide a great working environment and an enriching learning experience for our learners and partners. We champion world class employee engagement and are proud to recognise our staff in a meaningful and significant way.”
He added: “People are at the heart of what we do. As a company based on strong moral principles and values, this decision is a natural transition. It is our staff, the Educ8 family that has created such a great environment to work in. It is now time for all those involved to share in that success. We will drive the business to even greater heights and maximise the opportunity that the creation of the EOT brings to all involved.”
Chris Mears, principal, Boost & Co said: “We were hugely impressed by the quality of the Educ8 team and the opportunity to accelerate growth in response to the critical need for high quality apprenticeships and training to address the skills gap in Wales.
“We are delighted to support this transaction and look forward to seeing the Group reap the benefits of employee ownership.”
The deal comes as the Welsh Government pledged to invest £366m to deliver 125,000 all-age apprenticeships across Wales in the next three years.
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This major investment follows £152m of funding from the Welsh Government last year, including employer incentives to recruit through apprenticeships to help businesses’ recover from the pandemic.
Educ8 said it would continue to deliver apprenticeships and training in the workplace with ongoing support from the Welsh Government.